Edinburgh has the highest quality of living in the country, according to the latest MoneySuperMarket quality of living index, which assesses the UK’s 12 largest cities.
The annual report analyses and weights a range of key economic indicators including house price affordability, affordability of rental costs, salaries, disposable income, cost of living, unemployment rates and life satisfaction.
Edinburgh was deemed to have the lowest unemployment rate, dropping from 6.6 per cent last year to 5.5 per cent this year.
Additionally, Edinburgh residents also take home the highest average annual salary (£25,543) outside of London, while benefiting from the lower cost of living, with an average weekly household expenditure of £386.50 - compared to the UK average of £426.30.
The report noted that while most prosperous cities usually suffer from high housing costs, Edinburgh has high salaries without housing costs increasing to the same degree.
In Edinburgh, the average asking price of rent is £1,099, which takes up just over half of the annual salary - 52 per cent - a lot less than the average rental asking price of £2,353 in London, which amounts of 93 per cent of the average London salary.
Belfast was rated in second place, primarily because it has the second lowest unemployment rate, at 6.5 per cent, down from 6.8 per cent last year.
The Northern Irish capital also has the highest life satisfaction score (7.65) of all the 12 cities, up from 7.28 in 2014.
Cardiff takes third place, with a low cost of living and an average weekly household expenditure of £384.60 - against an average of £426.30 - as well as an above average amount of disposable income - £16,520 per head - up 3 per cent from £15,999 in 2014.
Birmingham was rated the lowest city this year and performs below average for five out of seven indicators, with the lowest disposable income of £13,575 a year per person against a UK average of £17,559.
Kevin Pratt, content editor at MoneySuperMarket, called Edinburgh a beautiful city, with stunning architecture and a thriving cultural scene. “People in the Scottish capital have also seen a rise in disposable income and salaries over the last 12 months, propelling the city to the top of the list of best places to live in the UK.
Across the UK’s largest cities life satisfaction scores are generally higher across the board compared to last year, even in the face of salaries falling slightly while the cost of living rises.
“What’s more, these cities have benefited from falling unemployment, a decrease in rent and a rise in disposable income over the last year.
“Added to this, property prices are on the rise again, so many home owners are seeing their properties increase in value. So there are many reasons for British city-dwellers to be happy, not just those living in Edinburgh.”
ruth.gillbe@ft.com
